Savings back in style

21 Jan Savings back in style

On my way to bankruptcy court, I saw a Wachovia billboard touting savings , and I thought, “Hurrah!, Someone in addition to ING promoting saving, rather than spending”. Therein lies a blog, I was sure.

On the train, before I could get to keyboard, I read a decision by Judge Deasy, ostensibly about the means test, in which he allows the debtors to keep $100 a month for a reserve for the unexpected. Wow, I thought, a voice of authority who realizes that a family needs a financial cushion and need not expend every penny they earn.

Sitting in the bankruptcy courtroom, Judge Carlson talked about a decision he had written on the means test (Patrick Ng, 08-31520) and substantial abuse in which he analyzed retirement savings and found the debtors entitled to retirement savings and a bankruptcy discharge.

Maybe, just maybe, there will be a chorus of public voices urging not rampant consumption, but prudent use of money. I will sing along.

Cathy Moran, Esq.

I'm a certified specialist in bankruptcy law (California State Bar Board of Legal Specialization) practicing in the San Francisco Bay Area for more than 30 years. In addition to practicing bankruptcy law, I train new practitioners at Bankruptcy Mastery.